Kennady Diamonds Inc said that the diamonds recovered from the Faraday kimberlites at the Kennady North project during the 2017 bulk sampling program have been valued at a collective average price of US$ 109 per carat. The results were based on valuation of a parcel containing 1,259.16 carats (+0.85mm) carried out by WWW International Diamond Consultants (WWW) in Antwerp.

The Company said that a population of high value white gem quality stones was noted in all three of the Faraday bodies, including a 7.78 carat sawable diamond recovered from Faraday 3 valued at US$ 2,967 per carat.

The parcel included stones recovered from Faraday 1, 2 and 3 kimberlites. The valuation results for Faraday 2 and 3 consist of two sub-parcels from each body. The sub-parcels represent broadly-defined geological divisions that may have importance as the bodies are advanced to resource status.

WWW said that given the combined sample weight of only 1,259 carats, with the largest sample of just 457 carats and the smallest of 76 carats, “there is a high degree of uncertainty in the models”.

Kennady reported that the five highest value diamonds on a dollar per carat basis from the Faraday bulk samples include:

• A 7.78 carat sawable octahedron from Faraday 3 valued at US$2,967 per carat
• A 4.02 carat sawable octahedron from Faraday 3 valued at US$2,526 per carat
• A 3.08 carat sawable octahedron from Faraday 3 valued at US$1,966 per carat
• A 4.72 carat sawable octahedron from Faraday 2 valued at US$1,667 per carat
• A 2.37 carat sawable diamond from Faraday 2 valued at US$1,502 per carat

President and CEO of Kennady Diamonds, Dr. Rory Moore commented: “We are delighted with the results of the Faraday bulk sampling program. Our previously reported grades that range between 1.67 and 2.91 carats per tonne for the three Faraday kimberlites, combined with these valuations, provide a strong foundation on which to build a high-value resource at the Faradays.”

He added that: “It is gratifying to see a notably higher proportion of white gems together with a coarser size distribution of Faraday diamonds relative to Kelvin, which translates into significantly higher average diamond prices. These results represent a major step forward for Kennady towards its goal of defining an economic diamond deposit on the Kennady North Project.”

The results of the Faraday bulk sample valuation, combined with grade and modeling results, will be used to prepare an independent NI 43-101 resource statement for the Faraday kimberlites that is expected to be released before the end of the current quarter.